1. Home
  2. Blog
  3. GS Paper 3
  4. Economy

Marrakesh Agreement

Why is it in the news?

  • World Trade Organization (WTO) is celebrating 30 years of the Marrakesh Agreement.

About Marrakesh Agreement (1994)

  • Signed by 123 countries in Marrakesh, Morocco, in 1994 after the conclusion of the Uruguay Round.
  • Led to the establishment of the WTO in 1995, replacing the General Agreement on Tariffs and Trade (GATT).
  • Serves as the basic framework for trade relations among all WTO members.
  • Expanded the scope beyond trade in goods to include trade in services, intellectual property, and other topics.
  • Established a modern multilateral trading system, facilitating negotiations, dispute settlement, and economic cooperation among members.
  • Created the WTO’s governance structure, including the Ministerial Conference (highest decision-making body), General Council, and specialized councils.
World Trade Organization (WTO)


路聽聽聽聽聽聽聽 Established in 1995, it is the only international organization dealing globally with the rules of trade between nations.

路聽聽聽聽聽聽聽 Its objective is to help its members use trade as a means to raise living standards, create jobs, and improve people’s lives.

路聽聽聽聽聽聽聽 Members: 166 countries, accounting for 98% of world trade, including India.

路聽聽聽聽聽聽聽 Headquarters: Geneva, Switzerland.

路聽聽聽聽聽聽聽 Decisions: Typically made by consensus.

Achievements of WTO:

路聽聽聽聽聽聽聽 Lowering trade barriers: Real volume of world trade expanded by 2.7 times since 1995, with average tariffs almost halved from 10.5% to 6.4%.

路聽聽聽聽聽聽聽 Rise of Global Value Chains (GVCs): Trade within these value chains accounts for almost 70% of total merchandise trade.

路聽聽聽聽聽聽聽 Growth in developing countries: Fastest poverty reduction since 1995 and increased purchasing power in all countries.

路聽聽聽聽聽聽聽 International Trade Agreements and Rules: Includes the TRIPS Agreement, Nairobi Package, Trade Facilitation Agreement, Doha Development Agenda, etc.

Get free UPSC Updates straight to your inbox!

Get Updates on New Notification about APPSC, TSPSC and UPSC

Get Current Affairs Updates Directly into your Inbox

Discover more from AMIGOS IAS

Subscribe now to keep reading and get access to the full archive.

Continue reading